Slide 1: Earnings Presentation Q2 2024
Earnings Presentation Q2 2024 22 August 2024 ● BW LPG Earnings Presentation
Slide 2: Disclaimer and Forward-Looking Statements
Disclaimer and Forward-Looking Statements NOT FOR RELEASE, PUBLICATION, DISTRIBUTION OR FORWARDING, IN WHOLE OR IN PART, DIRECTLY OR INDIRECTLY, IN OR IN TO ANY JURISDICTION IN WHICH THE SAME WOULD BE UNLAWFUL. BY ATTENDING THE MEETING WHERE THIS PRESENTATION IS MADE, OR BY READING THE PRESENTATION
Slide 3: Agenda
Agenda 01 Highlights 02 Market 03 Performance 04 Q&A
Slide 4: 2024 Q2 Highlights and Market Outlook
2024 Q2 Highlights and Market Outlook Highlights and Subsequent Events • Another strong quarter for shipping with TCE income – Shipping Q2 2024 concluded at US$49,660 per available day and US$48,030 per calendar day (total). • Declared a Q2 2024 cash dividend of US$0.58 per share amounting to US$76.
Slide 5: Fleet acquisition of VLGCs from Avance Gas
Fleet acquisition of 12 VLGCs from Avance Gas 5 Strategic transaction, expanding and renewing our fleet to enhance shipping and delivery options in the fast-growing LPG space 1. Including 8x VLGCS from BW India (52% owned by BW LPG) on a 100% basis. 2. BW LPG fleet per 22 August 2024 – excludes two
Slide 6: Market
Market 6 02
Slide 7: Spot Market Snapshot – Rebounding after export disruptions
Energy Transfer: Nederland (8Mtpa) Enterprise: Neches River (11Mtpa) Enterprise: Hydrocarbons Terminal (9Mtpa) 40 45 50 55 60 65 70 75 80 85 90 2024 2025 2026 2027 Million tons per annum Current capacity LPG Exports Spot Market Snapshot – Rebounding after export disruptions 7 Spot rates came down fo
Slide 8: LPG volume fundamentals
40% 50% 60% 70% 80% 90% 2022 2023 2024 LPG volume fundamentals 8 LPG fundamentals remain supportive for further demand growth 28 34 39 44 46 53 56 61 2018 2019 2020 2021 2022 2023 2024F 2025F North American LPG exports VLGC only Million tons 34 33 30 31 37 38 39 41 2018 2019 2020 2021 2022 2023 2024
Slide 9: VLGC Fleet and Newbuildings
VLGC Fleet and Newbuildings 9 Average delivery of 3 VLGCs per quarter over the next 18 months Sources: BW LPG, Clarksons 1. Total VLGC fleet on water (not including orderbook) 2. Delivery times for established shipyards in China and South Korea. Newcomer shipyards in China are promoting end-2026 del
Slide 10: Performance
Performance 10 03
Slide 11: Shipping – Performance
2024 % of total Fleet Revenue/ (Cost) in $M Average day rate TC out 19% $102 $44,500 TC in 19% ($75) $32,600 Net $27 Remaining TC out 13% $68 $44,500 Shipping – Performance 11 Achieved 95% fleet utilisation generating TCE income - Shipping of $49,700 per available day 2024 Q2 performance Q3 2024 ▪ F
Slide 12: Product Services – Performance
Q2 Net profit: $16M 1Gross profit from Product Services represents the net trading results which comprise revenue and cost of LPG cargo, derivative gains and losses, and other trading attributable costs, including depreciation from Product Services’ lease-in vessels 2Q2 net profit of $16M excludes c
Slide 13: Financial Highlights
$0.15 $1.91 $1.46 $0.09 $0.85 $0.84 $0.56 $1.28 $3.46 $1.58 2013 2014 2015 2016 2017 2018 2019 2020 2021 2022 2023 YTD 2024 Financial Highlights 13 Low leverage, strong liquidity, ready for growth opportunities Earnings Yield2 (annualised) 12% Dividend Yield3 (annualised) 15% ROE4 (annualised) 21% R
Slide 14: Financial – Financing Structure and Repayment Profile
$400M ECA (o/s $53M) $221M ECA (o/s $50M) $198M Term Loan (o/s $127M) $345M Revolving Credit Facilities (RCF) Undrawn RCF - $345M O utstanding Debt - $230M US$ million As of 30 June 2024 Pro forma balance post transaction³ Undrawn amount under revolving credit facility 345 110 Cash1 233 233 Total av
Slide 15: Q&A
Q&A 15 04
Slide 16: Q&A
Q&A CEO Kristian Sørensen CFO Samantha Xu
Slide 17: Contact Us
Contact Us Investor Relations investor.relations@bwlpg.com Ticker (OSE) / Ticker (NYSE) BWLPG / BWLP LinkedIn linkedin.com/company/bwlpg Telephone +65 6705 5588 Website https://investor.bwlpg.com Address 10 Pasir Panjang Road Mapletree Business City #17 -02 Singapore 117438 17
Slide 18: Appendices
Appendices 18 05
Slide 19: Vessels operated by BW LPG as of 22 August
1. Vessels with scrubbers installed 2. MGC (Medium Gas Carrier) 3. LGC (Large Gas Carrier). Denver’s and Helsinki’s expected to be delivered in Q3 2024 41 VLGCs, 2 MGCs, and 2 LGCs Operated by BW LPG as of 22 August 19 BW LPG 19100% ownership BW LPG 7 Time charter in BW LPG India 52% ownership Opera
Slide 20: VLGC Charter Portfolio Overview
1. % of fleet ratio is basis: TC out is based on total available days and TC in is based on total calendar days VLGC Charter Portfolio Overview 20 Time charter-out coverage for 2024 at 32% at an average rate of $44,500 per day Revenue in USD millions % of total available days of the whole fleet Cost
Slide 21: Fleet Safety Statistics
0.16 0.16 0.16 0.32 0.16 0.16 0.17 0.35 0.52 0.52 0.52 0.52 0.00 0.00 0.00 0.16 0.16 0.16 0.17 0.35 0.52 0.52 0.52 0.52 Jul-23 Aug-23 Sep-23 Oct-23 Nov-23 Dec-23 Jan-24 Feb-24 Mar-24 Apr-24 May-24 Jun-24 Fleet Safety Statistics 21 Safety and Zero Harm onboard remain our key focus. No incidents in Q2
Slide 22: Shipping Segment Charter Portfolio 2024-2025
Q1 2024 Q2 2024 Q3 2024E Q4 2024E 2024E 2025E Owned days 2,517 2,457 2,484 2,484 9,942 9,855 Time charter in days 621 637 579 455 2,292 1,460 Total calendar days 3,138 3,094 3,063 2,939 12,234 11,315 Offhire1 104 102 22 37 265 241 Total available days (Net of offhire) 3,034 2,992 3,041 2,902 11,969
Slide 23: BW LPG India Charter Portfolio 2024-2025
BW LPG India Charter Portfolio 2024-2025 23 Time Charter Out contract coverage stands at 80% for 2024 (as of 8 August 2024) 1. Offhire is assumed to be 3 days per year per vessel, distributed equally per quarter, during the years the vessel does not have planned dry dockings Q1 2024 Q2 2024 Q3 2024E